G M Brew

The company posted a disappointing set of numbers for Q4Fy15 and it ended FY15 also on a lower note. For the quarter, though net sales rose 4% (YoY) at Rs.78 crore, its net profit came in at Rs.5.72 crore v/s Rs.6.04 crore, down 5%. Lower other income, higher employee and depreciation cost and higher tax outgo pulled down the bottomline. EBITDA for the quarter was flat at Rs.12 crore and margin came in at 15.92% v/s 14.82%.

The company ended FY15 with a net profit of Rs.19 crore, down 9%. The company is engaged in the activities of manufacturing and marketing of Alcoholic Beverages; such as Country Liquor (CL) and Indian made Foreign Liquor (IMFL). It is the largest manufacturer of country liquor in the state of Maharashtra with a sizeable market share. Its brands are GM Santra, GM Limbu Punch, GM Dilbahar Sounf and GM Doctor. The company is essentially is a “country” liquor maker and thus has a huge customer base though margins are lower than the other big branded liquor companies, which is made up through higher volumes. Promoters stake as at end of FY15 stands at 74.43%.